Charlestown housing project tops off 6-year effort

MAKING A HOME: Richard H. Godfrey, executive director and CEO of Rhode Island Housing, touts the organization’s recent achievements with its HelpCenter and Hardest Hit Fund. / COURTESY RHODE ISLAND HOUSING
MAKING A HOME: Richard H. Godfrey, executive director and CEO of Rhode Island Housing, touts the organization’s recent achievements with its HelpCenter and Hardest Hit Fund. / COURTESY RHODE ISLAND HOUSING

(Updated, Sept. 18, 10 a.m.)
Since 1993, Richard H. Godfrey has served as the executive director and CEO of Rhode Island Housing, a privately financed, public-interest corporation that provides safe, affordable homes for Rhode Islanders. It is a self-sustaining public agency, which generates its own operating income, without state funding.
It has invested $3.2 billion in the purchase, construction or restoration of homes and apartments in Rhode Island, helped more than 60,000 families buy homes and financed the creation of more than 14,000 low- and moderate-income apartments. It recently announced that seven new affordable homes with prices starting at $110,000 will be built on Edwards Lane in Charlestown.

PBN: Can you tell us about the affordable-housing project in Charlestown?
GODFREY: That project ends a six-year effort that started in 2006, when we purchased the six-acre property for $520,000. The land was subdivided into parcels of nearly an acre.
Four homes will be made available for those making 80 percent or less of the median income. The remaining three are for buyers making 60 percent or less of the median income.
Homes for first-time homebuyers will be priced starting at $110,000 and will be ready in 2013. But affordable housing is just one of the many things we do.

PBN: What are some of Rhode Island Housing’s recent achievements?
GODFREY: We have spent a lot of time and effort with our HelpCenter and our Hardest Hit Fund. The fund is a federal fund originating from the U.S. Treasury to help prevent foreclosures by helping homeowners who cannot pay their mortgage due to a hardship such as unemployment.
The Hardest Hit Fund distributed almost $13 million in February to homeowners to prevent foreclosures and stabilize the market. A total of $80 million in foreclosure-prevention assistance was made available to Rhode Island. This program is designed to offer targeted assistance to help families who’ve been hit hardest by the economy stay in their homes. With thanks to a lot of partnerships we were able to get the new program running, which should help 5,000 to 10,000 families.
The HelpCenter is a new division, an independent agency that provides free education and support, helping people from losing their homes.
Every day we try to provide the best information, and whenever possible, continue to offer low-cost, zero down-payment loans in every town in Rhode Island.
We are proud of both programs and their success.

PBN: What is your biggest concern?
GODFREY: Over the last few years it has been the depth of the unemployment problem that has really taken its toll. So has the amount of bad mortgages that have led to foreclosures. Add to that unemployment and compound it with people struggling to pay their bills and we have seen a real need for our services. Right now unemployment has stabilized, but businesses are still struggling. There is a lot of homelessness, a great need for assistance and a huge demand for housing that is affordable.

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PBN: How has the recession affected your organization?
GODFREY: At the start of the recession, government funding wasn’t easy to obtain but it was available. Over the last two years, however, it has been very difficult. There have been no new programs and traditional programs have been cut significantly and in other areas we have had to cut staff. We have had to be very agile.
Some homeowner programs have been cut by 40 percent. As far as the Section 811 supportive housing for people with disabilities, or with the elderly, funding for those programs have virtually disappeared. It is as if America has abandoned its commitment to lend a helping hand to those who need it.

PBN: What’s Rhode Island Housing’s greatest strength?
GODFREY: Without a doubt, our biggest asset is our employees and their willingness to adapt to any situation. They deserve a lot of credit. We try different things when the need arises and they have been more than willing to help.

PBN: How does politics affect Rhode Island Housing?
GODFREY: The political debate around Fannie Mae and Freddie Mac has Congress paralyzed and floundering. There needs to be a greater sense of resolution on reform, availability and status.

PBN: What is one of your biggest priorities?
GODFREY: The Rhode Island Affordable Housing Bonds Question is on the Nov. 6, 2012 ballot. The measure would authorize the state government to issue $ 25 million in bonds for affordable housing. The Clean Water and Local Farms referenda in the November election is big. The $25 million in funds has been approved and is in the budget but must be passed by voters. The money would be for local grants for open space acquisition for habitat and recreation, and for farm land conservation. It also supports local grants to develop our outdoor recreational facilities and habitat restoration.

PBN: Are developers still interested in building affordable-housing projects?
GODFREY: Certainly, but now is not the best climate to do so, and it hasn’t been since the recession. Financing and legal problems for the actual developer have been a concern. If incentives aren’t great enough to reward the developer then it isn’t worth the while.

PBN: Do you find any regional trends with affordable housing?
GODFREY: Not particularly. We try to offer affordable lending programs while trying to help with housing grants and subsidies to those with the greatest need. •

INTERVIEW
Richard H. Godfrey
POSITION: Executive director and CEO, Rhode Island Housing
BACKGROUND: Godfrey has performed housing, community-development and public-finance activities for almost 30 years. He is a past president of the National Council of State Housing Agencies, a founding member of HousingWorks RI and a founding partner of KeepSpace, an initiative to create communities and neighborhoods.
EDUCATION: B.A., architecture & urban planning, Princeton University, 1973; JD, Seton Hall Law School, 1980
FIRST JOB: Farm work in New Hampshire
RESIDENCE: Barrington
AGE: 61

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